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Budget Speech 2018 and ratings agencies – insights from Investec

Has the Finance Minister done enough to avoid a downgrade?

“I think the budget may, on balance, just be enough to avoid a Moody’s credit rating downgrade to sub-investment grade in this quarter,” says Annabel Bishop, Investec chief economist.
She says if you see continued substantial borrowings AND you’re borrowing to pay off your debt you’ve fall into a debt trap, which has happened to South Africa and is why we’ve been getting the credit rating downgrades we have so far.

Get more insights from the Investec #Budget2018 panel discussion here: http://bit.ly/2GzWG9V

For other videos from this playlist, click here: http://bit.ly/2IfkuiX

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Investec
Investec is a distinctive Specialist Bank and Asset Manager. We provide a diverse range of financial products and services to a niche client base in three principal markets, the United Kingdom, South Africa and Australia, as well as certain other geographies. Investec’s strategic goals are motivated by the desire to develop an efficient and integrated business on an international scale through the active pursuit of clearly established core competencies in the group’s principal business areas.
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